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2w ago

House Republicans Consider Major Cuts to Medicaid Expansion Funding

Proposal to reduce federal match rate for ACA Medicaid expansion to 50–80% could shift costs to states and threaten coverage for millions.

Representative Austin Scott speaks with reporters in Washington, D.C. on October 23, 2023.
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Overview

  • House Republicans, led by Speaker Mike Johnson, are exploring reducing the federal match rate for Medicaid expansion from the current 90% to a range of 50–80%.
  • Representative Austin Scott outlined the plan, stating that states would need to pick up a greater share of Medicaid costs but claimed no one would lose coverage if states maintained funding.
  • Health nonprofit KFF warns that lowering the federal match rate could result in up to 20 million people losing Medicaid coverage, with many states potentially abandoning the program.
  • Centrist Republicans have expressed opposition to any changes that would reduce Medicaid coverage for vulnerable populations, highlighting intraparty divisions.
  • The proposed cuts are part of broader GOP efforts to fund tax cuts and other priorities, despite Medicaid's popularity and its role in supporting over 80 million Americans.